FILE - This July 18, 2018, file photo, shows a sign outside a McDonald's restaurant in Pittsburgh. McDonald's Corp. (MCD) on Thursday, July 26, reported second-quarter net income of $1.5 billion. (AP Photo/Gene J. Puskar, File)

Higher prices help McDonald's lift US sales figure

July 26, 2018 - 8:52 am

OAK BROOK, Ill. (AP) — McDonald's says a key sales figure rose in its flagship U.S. market during the second quarter, driven by higher prices and more expensive menu items.

The world's biggest burger chain says sales rose 2.6 percent at domestic stores open at least 13 months. Globally, the company said the figure rose 4 percent. The figure is considered an indicator of health because it strips out the effect of newly opened and closed locations.

The improved sales come as the chain tries to modernize its operations with changes like ordering kiosks and delivery. But the company has also been shrinking its domestic stores base in recent years, and now has less than 14,000 U.S. locations.

For the period ended June 30, McDonald's earned $1.5 billion, or $1.90 per share. Earnings, adjusted for restructuring costs, were $1.99 per share, or 7 cents better than Wall Street was expecting, according to a survey by Zacks Investment Research.

Total revenue of $5.35 billion in the period, also edging out forecasts.

Shares of McDonald's Corp. slipped less than 1 percent before the opening.

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This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on MCD at https://www.zacks.com/ap/MCD

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